<b>Proposal of a method for formulating strategy in small and medium enterprises</b>

Abstract

Strategy models found in the literature are usually more suitable for big companies. However, small and medium enterprises (SME) also need to plan their strategies, but in such a way that considers their peculiarities. In this context, this paper presents a simple method for strategy formulation and deployment in SME. This method was developed through a sequence of cases studies, developed in small companies (10 to 500 employees). The final version of this method is a seven-step framework that considers both business environment and firm core competencies. The final aim is the alignment of business and manufacturing strategies. This framework can be considered suitable for SME, since it is simple and allows saving time and scarce available resources for strategy formulation, both important issues in this kind of enterprises. Finally, a case study is presented, encompassing the analysis of the application of the final version of the method in a small Brazilian company. Key-words: Competitive Strategy, Small Business Strategy, Manufacturing Strategy.